Occidental Petroleum Corporation (OXY)

Debt-to-capital ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	—	18,597,000	19,669,000	19,645,000	19,670,000	20,478,000	21,743,000	25,865,000	29,431,000	—	35,352,000	35,466,000	35,745,000	35,899,000	36,034,000	36,058,000	38,537,000	47,583,000	10,155,000	10,203,000
Total stockholders’ equity	US$ in thousands	30,250,000	29,312,000	29,111,000	29,559,000	30,085,000	28,720,000	27,830,000	24,907,000	20,327,000	18,873,000	18,244,000	18,300,000	18,573,000	19,860,000	23,346,000	31,295,000	34,232,000	36,080,000	21,347,000	21,236,000
Debt-to-capital ratio		0.00	0.39	0.40	0.40	0.40	0.42	0.44	0.51	0.59	0.00	0.66	0.66	0.66	0.64	0.61	0.54	0.53	0.57	0.32	0.32

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $30,250,000K)
= 0.00

The debt-to-capital ratio of Occidental Petroleum Corp. has shown a gradual decrease over the past eight quarters, indicating an improvement in the company's leverage position. From Q1 2022 to Q4 2023, the ratio declined from 0.51 to 0.39, which suggests that the company has been reducing its reliance on debt to fund its operations and investments relative to its total capital structure.

A lower debt-to-capital ratio generally indicates a stronger financial position and lower financial risk for the company. Occidental Petroleum Corp. has been successful in managing its debt levels and optimizing its capital structure during this period. Despite facing fluctuations quarter over quarter, the overall trend has been positive.

Investors and stakeholders may view this trend positively as it demonstrates the company's efforts to improve its balance sheet strength and potentially enhance its creditworthiness. However, it is important to continue monitoring the debt-to-capital ratio in the future to ensure that Occidental Petroleum Corp. maintains a sustainable and healthy financial position.